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TOPIC: company law
#481
Zou (User)
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company law 3 Years, 3 Months ago  
1 Why a public company purchase or redeem its own shares?

2 Can the entire premium be written off to the share premium account?
 
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maha (User)
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Re:company law 1 Year, 5 Months ago  
Paula, a computer salesperson for Mega, Inc., rode to an out-of-town business convention with the president of Techbyte, one of her best clients. Wanting to stay at the convention an extra day, the president of Techbyte asked Don, a trusted Techbyte employee who had also attended the convention as part of his job responsibilities, to give Paula a ride back to their home town and discuss Techbyte’s future computer needs on the way. Don agreed, and the two started home that evening.
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Income Protection Insurance| Life Insurance Quotes
 
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jumpingspidermedia (Visitor)
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Re:company law 6 Months, 4 Weeks ago  
1 Why a public company purchase or redeem its own shares?

This used to be completely prohibited. Now it is permitted subject to quite restrictive and detailed rules.

The problem with companies buying their own shares is that, if completely unrestricted, there is a danger that creditors (and potential creditors) may be misled as to the size of the company's capital. This is part of the wider area of maintenance of capital.
 
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